On February 24 2026, KBR’s Mission Technology Solutions announced a new strategy to broaden its digital engineering capabilities for the U.S. military. The plan calls for the establishment of advanced digital labs across the United States and the deployment of digital twin and model‑based system engineering environments to accelerate the development and sustainment of defense systems.
The initiative focuses on modernizing ground vehicles, aviation platforms and sensors for the Department of War. By creating virtual prototyping environments, KBR aims to provide faster, data‑driven insights that can shorten acquisition timelines and reduce costs for military customers.
The expansion positions KBR to capture a larger share of the defense modernization market, enhances its competitive advantage over traditional engineering firms, and could generate new revenue streams as the U.S. government accelerates its warfighting modernization programs. The move also aligns with national defense priorities and strengthens KBR’s position in the government services market.
Mark Kavanaugh, KBR’s president of Defense, Intel and Space, said the Department of War is emphasizing speed in modernization of warfighting capabilities. He also noted that KBR’s deep expertise in simulating missions in a virtual environment allows the department to save money and time by first digitizing scenarios in a lab, gaining key insights for decision advantage.
KBR is preparing to spin off its Mission Technology Solutions segment into two standalone entities, one focused on government and national security missions. The digital engineering expansion is part of that broader transformation, positioning the company for long‑term growth in high‑value defense services.
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